Agreed, this is the perfect form factor for a video chat device. Since your eyes will be pointed at the screen, the camera won't be "looking up your nose." Since this is the perfect device for lots of business travelers who might like to stay connected to home or the office, a camera would have been nice."
You are mistaken.
I grabbed a clipboard and clipped my iPhone to it while it was recording video. I held it where it felt comfortable, and yeah, it's a very unflattering view.
Did you even think about what you were saying?
Since your eyes will be pointed at the screen, the camera won't be "looking up your nose."
It doesn't matter what your eyes do, the problem is your face. The camera will still be looking up at you from a low angle and if it isn't then you are either lowering your head unnaturally, or holding up the iPad to the same height as your eyes, which is also not comfortable.